Nov 08
China factories feel the squeeze — chicagotribune.com
China factories feel the squeeze — chicagotribune.com
China factories feel the squeeze
Caught between rising costs at home and low-cost pressure abroad, some firms decide to cut corners
By Michael Oneal | Tribune staff reporter
November 8, 2007
SHENZHEN, China — Sitting in a windowless conference room surrounded by the remote-control toy Ferraris and Mercedes he sells the world over, factory owner Kuma Gu summed up what it’s like to manufacture products for American consumers these days.“A lot of Chinese companies have a saying,” he said between drags on a cigarette. “Do you want to kill yourself? Then do business with Wal-Mart.”
Gu wasn’t looking for sympathy. He has thrived for years amid the economic miracle that has transformed this one-time steamy fishing village into one of the world’s largest manufacturing bases.
